Riverside Medical Practice is now open in its new home at The Tannery, in Barker Street, after moving from Roushill.
The new premises provides twice the number of clinical rooms and a pharmacy in the connecting ground floor unit.
Plans for the practice involve a range of additional services including psychological support, care for alcohol dependency and accommodation for local patient and self-help groups.
Shropshire Council, working in partnership with the county's clinical commissioning groups, invested in the Tannery development as part of its plans to regenerate Shrewsbury’s West End.
Dr Julian Povey, joint chair of Shropshire and Telford and Wrekin CCGs, said: “The Tannery site provides the ideal location and premises for Riverside Medical Practice, and the move will mark an exciting chapter for the practice and its patients.
“It has been a challenge to find a suitable, modern space in Shrewsbury for the practice’s size, but through partnership between the practice, CCGs, and the council, a great solution has been reached.”
Tracy Willocks, business manager at Riverside Medical Practice, said it was a "big milestone" for the practice, which had been on the corner of Smithfield Road for 33 years.
She said: "Plans to move have been long in the making.
"Everyone at the practice is very excited to begin this new chapter, to start plans to extend our workforce even further and grow to meet our patients’ needs.”
Dr Simon Hodson, GP partner at Riverside Medical Practice, said: "This new purpose-built surgery, located in the middle of town, will allow us to offer our patients so much more than the old premises.
“We are delighted with the site and appreciate all the work from our colleagues at the CCGs and council in enabling it to happen.”
Steve Charmley, Shropshire Council’s deputy leader and cabinet member for assets, economic growth and regeneration, said: “This is great news for the practice and its patients as it means the service will remain in a town centre location.
“We want to help to improve the health of our residents by ensuring there are good quality, sustainable, health services in the county.
“The move will ensure that this local practice has modern, fit-for-purpose facilities with space for expansion to support growth in patient numbers.
"I’m pleased that the council’s investment has helped to make the move possible.”
The project was part-funded through the Marches Local Enterprise Partnership.